November 10, 2011
Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Focus Media (NYSE: FMCN ) , which operates digital advertising displays in China, rose more than 10% in early trading on below-average volume after the head Hong Kong's Macquarie Capital, Jiong Shao, waxed bullish on the stock in a Bloomberg TV interview.
So what: Focus Media was just one of Shao's picks during the interview, which keyed off disappointing financial results reported by Chinese Internet conglomerate Tencent Holdings yesterday. He also expressed positive views of SINA (Nasdaq: SINA ) and Qihoo 360 Technology (Nasdaq: QIHU ) while panning Renren (NYSE: RENN ) , which he called a "sell."
Now what: Interestingly, the plug didn't hold for long. Traders sold off the rally, and shares of Focus Media closed down close to 3% on an otherwise up day for the Dow Jones Industrial Average (INDEX: ^DJI ) . Do you believe that's fair? Would you buy shares of Focus Media at current prices? Please weigh in using the comments box below.
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